When Expenses Are Greater Than the Potential Increased Sales from Market

question 43

Multiple Choice

When expenses are greater than the potential increased sales from market segmentation, a firm should

• A) not consider market segmentation at this time.
• B) combine departments within the company to make the process more streamlined.
• C) reduce production costs or increase prices to facilitate the segmentation process.
• D) seek alternate channels of distribution, including Internet sales.
• E) discontinue manufacturing any products that are not in the mature stage of their product life cycle.

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Definitions:

Operants

Behaviors that are controlled or modified by their consequences, a concept central to operant conditioning in behavioral psychology.

Negative Reinforcement

A behavioral psychology principle where the removal of an unfavorable outcome or stimulus strengthens a desired behavior.

Pleasant Event

An enjoyable or satisfying occurrence that can have a positive effect on one’s emotional or mental state.

Classical Conditioning

A learning process in which a neutral stimulus becomes associated with a meaningful stimulus and acquires the capacity to elicit a similar response.